Hungary has become a top spot for foreign investors and skilled immigrants. It offers a mix of its rich culture and modern economic opportunities. Hungary, a gateway to 500 million consumers, is an EU member. It offers a unique chance to expand a business or find a new home.
A Thriving Economic Climate
Hungary’s economy has shown strong growth, outpacing many EU countries. Recent data from 2023 highlights Hungary’s impressive economic performance:
- 0.6% GDP growth
- 0.4% increase in employment
- A notable 20% rise in market share
These figures show Hungary is among the fastest-growing economies despite global economic headwinds.
The government has implemented reforms that support businesses. They make the country more appealing to foreign investors.
- Competitive Corporate Tax Rate: At just 9%, Hungary has one of Europe’s lowest corporate tax rates. It ensures that investors keep most of their profits.
- Attractive Investment Incentives: The country offers grants and tax breaks to boost foreign investment.
- Booming Sectors: Key industries like technology, automotive, and tourism are growing rapidly. They offer diverse investment opportunities.
The Active Investor Visa Program
Hungary’s “Active Investor Visa” program gives residency in Europe. It requires a foreign investment. Given Hungary’s significant economic growth, this expedited and cost-effective route is particularly appealing. Key features include:
- No specific minimum investment amount, though allocating at least €50,000 as initial capital is advisable.
- One of the fastest business establishment processes globally, with incorporation of a Hungarian limited liability company (Kft) possible in just 4-5 days.
- Minimum share capital requirement of approximately €7,710 (HUF 3 million) for a Kft.
- Eligibility for business owners worldwide, regardless of Hungarian language proficiency.
Steps to Obtain the Active Investor Visa
- Obtain a short-term business visa to facilitate company setup.
- Develop a viable business plan and secure a local office or mail forwarding address.
- Register the company with the help of registered Hungarian attorneys if needed.
- Apply for a long-term “D” investor visa at the Hungarian consulate in your home country.
- Upon approval, enter Hungary and apply for a business investor residence permit within 15 days (cost: approximately €65).
Benefits of Hungarian Residency
Investing in Hungary not only provides residency but also offers numerous advantages:
- Path to Residency: After three years in Hungary, for at least 183 days a year, investors can apply for permanent residency.
- Citizenship: After eight years of residence, investors may apply for Hungarian citizenship. They must show a basic knowledge of the Hungarian language and culture.
- Schengen Area Access: Hungarian residents can travel freely across 26 Schengen Zone countries.
- Global Mobility: A Hungarian passport allows visa-free travel to 180+ destinations, including the U.S.
- High Quality of Life: Hungary has great healthcare, education, and culture. Its living and operational costs are lower than in many Western European countries.
Efficient Processing Times
The Hungarian immigration system is known for its efficiency:
- The National Directorate-General for Aliens Policing usually processes visa applications within 2-3 months.
- Residence card issuance takes up to 8 weeks.
Looking Ahead
Hungary’s strong economy, central location in Europe, and open immigration policies are attracting foreign investors and skilled immigrants. The country’s strong 2023 performance, despite global challenges, cements its status as a top investment destination.
A company in Hungary lets foreign investors access the EU. It has 450 million consumers across Eastern and Western Europe. This, combined with lower operational costs and a simplified immigration framework, positions Hungary as an optimal choice for those looking to elevate their foreign businesses in the EU while simultaneously securing European residency.
As Hungary continues to refine its policies to attract talent and capital, it presents a compelling opportunity for those looking to invest in their future while securing a foothold in the heart of Europe. Hungary has a rich culture, modern infrastructure, and a business-friendly environment. It is poised to be a key player in global investment immigration in the future.
